U.S. Stocks Retreat on Drop in Durable Goods; GE, Countrywide Shares Fall

(Bloomberg) -- U.S. stocks fell for a fourth day
after a government report said orders for durable goods
declined more than forecast and concerns lingered that losses
may worsen in bonds tied to mortgage loans.

General Electric Co., which makes products ranging from
appliances to jet engines, retreated. Countrywide Financial
Corp., the biggest U.S. mortgage lender, helped push a gauge of
financial shares to its lowest since April.


Read more at Bloomberg Stocks News

Zimbabwe reviews inflation calculation, delays data

(Reuters) - Zimbabwe is reviewing how it calculates inflation and will delay the release of May data, a government official said on Wednesday, as the country grapples with hyper-inflation.

President Robert Mugabe's government has declared the country's galloping inflation -- put at more than 3,700 percent in April -- as its number-one enemy. But prices continue to rise relentlessly, jumping by as much as 300 percent in the past week alone after the local currency tumbled.


Read more at Reuters Africa

US STOCKS-Shares flat after oil rise lifts energy shares

(Reuters) - NEW YORK, June 27 - U.S. stocks were little
changed in seesaw trading on Wednesday as a rise in oil's price
lifted energy shares, helping to erase most of the market's
losses.




Major indexes had fallen after weaker-than-expected durable
goods data hurt industrial shares and added to uneasiness about
the outlook for corporate profits.


Read more at Reuters.com Bonds News

S.Africa stocks fall 1.6 pct, led by miners

(Reuters) - Mining and resource stocks, led by Anglo American, dragged South Africa's blue-chip Top-40 index 1.62 percent lower on Wednesday as lower metal prices and fears about U.S. economic growth scared off investors.

The Top-40 index ended 1.62 percent down at 25,568 points while the broader All-share index ended 1.6 percent down at 28,285 points.


Read more at Reuters Africa

Colombia's Peso Weakens Sixth Day, Bonds Decline on U.S. Subprime Concerns

(Bloomberg) -- Colombia's peso weakened for a sixth
day and local government bonds declined as concern about losses
in the U.S. subprime market led investors to shun riskier,
emerging-market assets.

``Worries about the mortgage market shows how a shift in
external conditions reverses the peso's rally,'' said Alvaro
Camaro, head analyst at Stanford Financial Group's unit in
Bogota. ``Some local investors will likely begin investing in
dollars, taking advantage of a still strong peso.''


Read more at Bloomberg Currencies News

Merck wins speedy U.S. review for HIV drug

(Reuters) - NEW YORK, June 27 - Merck & Co. on Wednesday said U.S. regulators will review its experimental HIV drug Isentress on a priority basis, and that it anticipates a decision on the first in a new class of medicines by mid-October.



Merck said the drug, if approved, would be used alongside standard oral HIV drugs among patients that were no longer adequately protected by their current treatments because of viral resistance.


Read more at Reuters.com Government Filings News

Chile's Andina outlines dividend payments

(Reuters) - Andina, which has operations in Argentina and Brazil as
well as Chile, posted a net profit of $41.3 million in the
first quarter, up 3 percent from a year earlier.





Read more at Reuters.com Market News

CBOT says ISS recommends vote for CME merger

(Reuters) - CBOT shareholders and members vote on the CME deal on July
9, but are mulling a higher, competing bid from Atlanta-based
IntercontinentalExchange Inc. .




"If one is to compare ICE's adjusted offer price with CME's
offer price, the difference between the two offers is
marginal," ISS said in its report.


Read more at Reuters.com Mergers News

Coffee Declines in New York as Mild Temperatures May Boost Brazil's Crop

(Bloomberg) -- Coffee declined in New York as mild
temperatures ease concern that crops might be damaged by frost
in Brazil, the world's largest producer.

Forecasts signaled favorable harvest weather with no
damaging cold expected this week, according to Meteorologix LLC
in Woburn, Massachusetts. Temperatures will hover slightly above
normal with lows mostly in the 50s Fahrenheit (11 to 15
Celsius), and they may drop over the weekend before climbing
again on July 2, the forecaster said.


Read more at Bloomberg Commodities News

IEA Expects Oil Prices to Remain Near $70 a Barrel, Economist Birol Says

(Bloomberg) -- Crude oil prices will probably remain
near $70 a barrel during the next year because of political
tensions in Nigeria, Iran and Iraq, the chief economist of the
International Energy Agency said.

``I would be surprised if prices go down significantly,'' the
IEA's Fatih Birol said in an interview today at an energy
conference in Istanbul. ``We are going through difficult times.''


Read more at Bloomberg Energy News

Fidelity National to buy eFunds for $1.8 billion

(Reuters) - $34.60.




Jacksonville, Florida-based Fidelity National, which says about half of all U.S. residential mortgages are processed using its software, expects the deal to yield annual cost saving of $65 million and boost its earnings in 2008.


Read more at Reuters.com Bonds News

Activist Breeden seeks 3 H&R Block board seats

(Reuters) - The news sent shares of H&R Block as much as 6.8 percent higher. H&R Block did not immediately return a call seeking comment.



Breeden Capital Management LLC, which said it controls 1.86 percent of H&R Block shares, said it will propose directors for election at the company's Sept. 6 annual meeting. Just three of 11 incumbent directors are up for reelection, Breeden said.


Read more at Reuters.com Bonds News

UPDATE 1-Osprey receives C$404 million bid from Black Press

(Reuters) - Osprey said Black Press would pay C$8.25 in cash for each
Osprey unit. That represents a deal worth about C$404 million
and tops a bid from Quebecor Media earlier this
month that offered C$7.25 per unit.




The income fund's units rose 94 Canadian cents, or 13.02
percent, to C$8.16 on the Toronto Stock Exchange in early trade
on Wednesday.


Read more at Reuters.com Mergers News

Brazilian Coffee Growers Sell 4 Million Bags Offered at Subsidy Auction

(Bloomberg) -- Coffee growers in Brazil, the
world's biggest producer, sold all 4 million bags offered at an
auction today that was subsidized by the government.

The government will pay growers a subsidy of 39.99 reais
($20.40) a bag to supplement prices paid by roasters and
exporters, the Agriculture Ministry said on its Web site. Buyers
paid at least 260 reais per bag.


Read more at Bloomberg Commodities News

Crude Oil Rises on Unexpected Drop in U.S. Gasoline Inventories Last Week

(Bloomberg) -- Crude oil rose after an Energy
Department report showed an unexpected decline in U.S. gasoline
inventories last week.

Gasoline stockpiles fell 749,000 barrels, the first drop in
eight weeks, the report showed. An increase of 1.04 million
barrels was expected, according to the median of responses by 16
analysts surveyed by Bloomberg News. Inventories of distillate
fuel, a category that includes heating oil and diesel, plunged
2.28 million barrels. A 550,000 barrel gain was expected.


Read more at Bloomberg Commodities News

Mexico Peso Declines to Two-Week Low on Subprime Spillover, Slowdown Fears

(Bloomberg) -- Mexico's peso fell to a two-week low
on worries faltering subprime mortgages may prompt investors to
avoid riskier, emerging market assets and sliding U.S. durable
goods orders could signal economic slowing.

``The jitters about the U.S. credit markets certainly
weighed on the peso,'' said Rafael de la Fuente, chief Latin
America economist for BNP Paribas in New York.


Read more at Bloomberg Currencies News

Emerging-Market Bonds Decline as Demand for Risky, High-Yield Assets Wanes

(Bloomberg) -- Emerging-market bonds tumbled, led by
declines in Ecuadorean and Argentine securities, as concern about
losses related to subprime mortgages in the U.S. prompted some
investors to pare holdings of riskier assets.

The average spread, or extra yield, on emerging-market bonds
over U.S. Treasuries widened 6 basis points, or 0.06 percentage
point, to 1.74 percentage points, according to JPMorgan Chase &
Co.'s EMBI Plus index. Today's spread is the widest since March
21.


Read more at Bloomberg Bonds News

Freddie sees $9 bln-$17 bln reference notes in Q3

(Reuters) - Freddie Mac said it plans to sell reference notes in July,
August and September. It did not specify its targeted
maturities.




The agency also said it expects to issue at least one, but
not more than three, reference Real Estate Mortgage Investment
Conduit offerings in the third quarter, subject to
market conditions, including the availability of collateral and
investor interest.


Read more at Reuters.com Bonds News

UPDATE 1-Freddie plans up to $17 bln reference notes in Q3

(Reuters) - With $10 billion of reference notes set to mature, Freddie
Mac said net reference debt outstanding will shrink by $1
billion if it issues the minimum amount of new notes planned.
It if it issues the maximum during the quarter, net reference
debt outstanding will increase by $7 billion.




In the current quarter, Freddie Mac has issued $12 billion
of reference notes and increased the reference debt outstanding
by $5 billion because $7 billion of notes matured.


Read more at Reuters.com Bonds News

Freddie Mac sells $2.5 billion in bills

(Reuters) - The sale was part of Freddie Mac's weekly bill auction, on
Monmday Freddie Mac sold $1.5 billion in three-month bills due
Sept. 24, 2007, $1.0 billion in six-month bills due Dec. 24,
2007 and $1.0 billion in 12-month bills June 23, 2008.




Read more at Reuters.com Bonds News

UPDATE 1-US Treasury to review of financial services rules

(Reuters) - "To maintain our capital markets' leadership, we need a
modern regulatory structure complemented by market leaders
embracing best practices," Treasury Secretary Henry Paulson
said in a statement.




The Treasury said it would release a "blueprint" for
regulatory reforms by early next year.


Read more at Reuters.com Bonds News

Canadian Stocks Slide on Commodity Prices; Petro-Canada and Alcan Retreat

(Bloomberg) -- Canadian stocks fell, sending the
country's main equity index to its first four-day decline in nine
months, after prices for such commodities as crude oil and copper
slid.

Energy and raw-materials producers such as Petro-Canada and
Alcan Inc. retreated on concern that demand for Canadian resources
will slow, after a report showed durable goods orders in the U.S.,
Canada's biggest export market, fell more than forecast. Investors
are also awaiting the U.S. Federal Reserve's interest rate decision
tomorrow.


Read more at Bloomberg Stocks News

Crude Oil Falls on Expectations for Increased U.S. Supplies of Gasoline

(Bloomberg) -- Crude oil fell on speculation that an
Energy Department report today will show that U.S. refineries
bolstered production of gasoline and other fuels.

Gasoline stockpiles increased 1.04 million barrels in the
week ended June 22, according to the median of responses by 16
analysts surveyed by Bloomberg News. Inventories of distillate
fuel, a category that includes heating oil and diesel, rose
550,000 barrels. Refineries increased operating rates for the
first time in five weeks, the survey showed.


Read more at Bloomberg Energy News

Copper Futures Decline in New York on Concern U.S. Metal Demand May Ease

(Bloomberg) -- Copper fell for the second straight
day in New York on concern that slowing growth in the U.S., the
world's second-largest consumer of the metal, will damp demand.

Orders for U.S. durable goods fell more than forecast in
May, casting doubt on the prospects for a projected increase in
business investment. Before today, copper, which sometimes moves
in line with economic growth, had gained 16 percent this year
during a global expansion.


Read more at Bloomberg Commodities News

Steadier dollar may burst commodity bubble: fund

(Reuters) - Michael Howell, managing director at UK-based Crossborder Capital, said a large part of commodity price gains in recent years were due to the generally weaker dollar rather than strong economic growth as is generally advertised.




A weaker U.S. currency makes dollar-denominated commodities cheaper and more attractive to investors holding other currencies.


Read more at Reuters.com Hot Stocks News

Canada Stocks May Fall on Commodities Prices; Petro-Canada, Alcan May Drop

(Bloomberg) -- Canadian stocks may fall, sending the
country's main equity index to its first four-day drop in nine
months, after prices for such commodities as crude oil and copper
slid.

Energy and raw-materials producers such as Petro-Canada and
Alcan Inc. may decline on concern that demand for Canadian
resources will slow, after a report showed durable goods orders in
the U.S., Canada's biggest export market, fell more than forecast.
Investors are also awaiting the U.S. Federal Reserve's interest
rate decision tomorrow.


Read more at Bloomberg Stocks News

YRC Worldwide says acquisition to fuel China growth

(Reuters) - YRC Logistics' China sales in 2006 were $350 million,
accounting for 35 percent of global sales.




On Tuesday, YRC Worldwide announced a preliminary deal to
acquire Chinese transportation service provider Shanghai Jiayu
Logistics Ltd., marking its latest expansion in the China market,
its largest in Asia.


Read more at Reuters.com Mergers News

UPDATE 2-People's United to buy Chittenden for $1.9 billion

(Reuters) - Chittenden shareholders will receive $20.35 plus 0.8775 times the average closing price of People's United in the five days prior to closing.




People's United said it will pay 55 percent of the purchase price, or roughly $1 billion, in cash.


Read more at Reuters.com Mergers News

ViroPharma hepatitis drug put on fast track in US

(Reuters) - ViroPharma's HCV-796 is currently in mid-stage studies and
is being developed with drugmaker Wyeth .




Read more at Reuters.com Government Filings News

Dollar down vs yen after May US durable goods data

(Reuters) - The dollar fell against the yen on Wednesday after a report showed May U.S. durable good orders weaker than expected, raising concerns about the strength of the U.S. economy.

The yen was already up for a third straight session against the dollar as volatile global equity markets and continued concerns about the U.S. subprime mortgage sector made investors more wary of risky carry trades.


Read more at Reuters Africa

Morocco launches Maroc Telecom share sale

(Reuters) - Morocco's government is putting up for sale a 4 percent stake in telecoms operator Maroc Telecom with a share offer to local and foreign institutional investors, the Finance Ministry said on Wednesday.

Morocco's state owns 34 percent of the company, with French media and telecoms group Vivendi holding 51 percent and the remaining 15 percent traded on the Paris and Casablanca bourses.


Read more at Reuters Africa

UPDATE 1-AGF Management's second-quarter earnings surge

(Reuters) - Canada's third-largest publicly traded fund management firm
reported net income of C$53.6 million , or 59
Canadian cents a share, for the three months ended May 31, up
from C$33 million, or 37 Canadian cents a share, in the same
quarter a year ago.




Profit from continuing operations was C$49.1 million, or 54
Canadian cents a share, versus C$21.5 million, or 24 Canadian
cents a share, in the same period last year.


Read more at Reuters.com Market News

Bond prices rise on lingering subprime woes

(Reuters) - These fears have been heightened after Bear Stearns was forced to bail out a hedge fund which suffered large losses due to its dealings in subprime mortgages.




"The subprime issue has become a much more focused problem. It has certainly caused some unease in terms of the overall equity market and the overall leverage picture. We have seen some money flow into Treasuries," said Doug Bender, managing director with McQueen, Ball & Associates in Bethlehem, Pennsylvania.


Read more at Reuters.com Hot Stocks News

Treasuries Extend Advance as Durable Goods Orders Drop More Than Forecast

(Bloomberg) -- Treasuries extended their gains
after a Commerce Department report showed orders for durable
goods dropped last month more than economists forecast.

``It supports the notion the economy isn't going
great,'' said David Coard, head of fixed-income trading in New
York at Williams Capital Group. There's ``a better bid in the
market.''


Read more at Bloomberg Bonds News

May durable goods orders fell 2.8 percent

(Reuters) - Transportation orders fell 6.8 percent as civilian aircraft and parts orders tumbled 22.7 percent.




However, excluding volatile transportation orders, durables orders declined surprisingly by 1 percent as manufacturing, machinery, metals and electrical equipment orders fell.


Read more at Reuters.com Bonds News

UPDATE 1-Guitar Center to be acquired by Bain Capital

(Reuters) - The offer represents a 26 percent premium over Guitar Center's closing price on Tuesday.




The transaction is expected to close in the fourth quarter, the company said.


Read more at Reuters.com Mergers News

CORRECTED-UPDATE 1-Reuters Summit-Shimao sees benefit in cooling

(Reuters) - By Joseph Chaney and Umesh Desai




HONG KONG, June 26 - Shimao Property Holdings Ltd.
, an arm of Chinese billionaire Xu Rongmao's real
estate empire, says China's measures to cool the country's
booming construction industry will benefit larger property
firms, but worries over a land appreciation tax loom.


Read more at Reuters.com Bonds News

McCormick & Co. profit down

(Reuters) - Charges related to its restructuring program reduced
earnings per share by 4 cents.




Analysts, on average, had expected the Sparks,
Maryland-based company to earn 33 cents per share.



Read more at Reuters.com Market News

Hedge Funds Cash Out of Big Lots Shares After Price Doubles, Profit Slows

(Bloomberg) -- Big Lots Inc., the largest U.S.
seller of overstocked and discontinued items, has an online Wild
and Wacky Find museum where customers can submit items they
stumble upon while shopping at the company's stores.

There's Chick A Poo Organic plant food made from chicken
droppings, Shower Buzz vibrating body soap and Woofy Pop
chicken-flavored popcorn for dogs. While the goods make Big Lots
fun for shoppers, the enjoyment is waning for investors,
particularly hedge funds.


Read more at Bloomberg Exclusive News

BAE Systems, CHC, ConocoPhillips, Mosaic, Playboy: U.S. Equity Preview

(Bloomberg) -- The following is a list of companies
whose shares may have unusual price changes in U.S. exchanges
today. This preview includes news that broke after exchanges
closed yesterday. Stock symbols are in parentheses after company
names. Share prices are as of 7:30 a.m. New York time.

BAE Systems Plc (BAESY US): Analysts at Citigroup Inc.,
Morgan Stanley and Deutsche Bank AG said yesterday's 7.8 percent
drop in UK-traded shares of Europe's largest defense contractor
was excessive. The shares fell yesterday after the company said
the U.S. Department of Justice is investigating whether the
company violated corruption laws in arms sales to Saudi Arabia.
BAE's ADRS, each worth four shares, fell $2 to $32.70 in regular
trading yesterday.


Read more at Bloomberg Stocks News

BP Agrees to Venezuelan Terms to Maintain Stake in Cerro Negro Oil Project

(Bloomberg) -- BP Plc, Europe's second-largest oil
company, signed a memorandum of understanding with Venezuela
yesterday to keep its minority stake in a heavy-oil project as
the government consolidates its control of energy assets.

BP, based in London, will retain its 16.67 percent stake in
the Cerro Negro project, which will be majority owned and
operated by state-run Petroleos de Venezuela SA, BP spokesman
David Nicholas said today. The agreement was signed yesterday.


Read more at Bloomberg Emerging Markets News

UnitedHealth says does not endorse TRC's mini-tender offer

(Reuters) - The company said TRC's offer to purchase up to 2 million shares of UnitedHealth's common stock for $51.50 per share is 3.03 percent below its closing price on June 13, the day before the start of the unsolicited offer.






Read more at Reuters.com Mergers News

Oil Falls to Nine-Day Low on Forecasts for Rising U.S. Gasoline Supplies

(Bloomberg) -- Crude oil fell to a nine-day low in New
York on forecasts U.S. gasoline supplies rose for an eighth
straight week.

An Energy Department report today will probably show U.S.
gasoline stockpiles gained 1 million barrels last week, according
to a Bloomberg News survey of analysts. A record 41.1 million
Americans may travel next week for the Independence Day holiday,
the AAA said in a survey released yesterday.


Read more at Bloomberg Energy News

LSE CEO expects shareholder backing for Milan deal

(Reuters) - BRUSSELS, June 27 - Shareholders in the London Stock Exchange are expected to support the bourse's decision to buy Milan-based Borsa Italiana, LSE Chief Executive Clara Furse said on Wednesday.



"We expect shareholders to support this transaction," Furse told Reuters.


Read more at Reuters.com Bonds News

Futures signal weak start on liquidity worry

(Reuters) - In takeover news, Rupert Murdoch told Reuters on Wednesday he had no plan to raise his News Corp.'s bid for Dow Jones & Co. Inc. and said he is waiting for final approval of the proposed acquisition from the Bancroft family, which controls the publisher of the Wall Street Journal.




A weak Japanese currency has allowed investors to borrow cheaply in yen to buy higher-yielding assets elsewhere, a practice known as carry trade. The yen rose on Wednesday against the dollar and euro.


Read more at Reuters.com Business News

European Emission Permits Rise for First Day in Three on Expected Demand

(Bloomberg) -- European Union emission permits rose
for the first time in three days on speculation power utilities
may buy more allowances as governments cut free allocations.

EU carbon dioxide emission permits for December 2008 rose
13 cents, or 0.6 of a percent, to 21.20 euros ($28.47) a metric
ton on the European Climate Exchange in Amsterdam at 11 a.m.
local time. They had traded today as high as 21.33 euros a ton.


Read more at Bloomberg Energy News

Aeroflot Drops Alitalia Bid, Says It Was Denied `Critical' Information

(Bloomberg) -- OAO Aeroflot, eastern Europe's
largest airline, abandoned a bid for the Italian government's
stake in Alitalia SpA, saying it was denied ``critical
information'' about the company.

``Aeroflot and its advisers have not had access to critical
information with respect to the commercial and operational
aspects of Alitalia's business to confidently formulate a well
supported business proposal to successfully restructure
Alitalia,'' the Moscow-based company said in a statement today.


Read more at Bloomberg Emerging Markets News

Global mobile phone use to pass record 3 billion

(Reuters) - Global mobile phone use will pass the 3 billion mark -- equivalent to half the world's population -- for the first time in 2007 as cell phone demand booms in China, India and Africa, a survey said on Wednesday.

From African farmers to Chinese factory workers, mobile operators will have notched up more than 3.25 billion mobile phone subscriptions worldwide by the end of the year, according to a report by UK-based telecoms analysis company The Mobile World.


Read more at Reuters Africa

US mortgage applications fell in last week-MBA

(Reuters) - Borrowing costs on 30-year fixed-rate mortgages, excluding
fees, averaged 6.60 percent, unchanged from the previous week,
but near their highest since mid-2006.




The MBA's seasonally adjusted purchase index fell 4.9
percent to 428.9. The index is considered a timely gauge of
U.S. home sales.


Read more at Reuters.com Bonds News

Iraqi Outhouse Is a Sign of Progress to Marines Seeking to Secure Country

(Bloomberg) -- After a tense drive in an armored
convoy, on constant lookout for roadside bombs and other
potential hazards, U.S. Marine Captain Jeffrey McCormack directed
a giant forklift to set down the wooden outhouse.

``It may be an outhouse to you,'' said McCormack. ``It's
progress for us.''


Read more at Bloomberg Exclusive News